Homeowners earning the average national wage are now paying almost half their income just to run their homes, a new study has found.

The cost of owning and maintaining a home increased for the third year in a row, according to the 'Cost of Running a Home' report by AA Home Insurance.

It now costs the average homeowner €350 more than last year to own and maintain their home.

The average homeowner is now paying €16,374.45 to keep things ticking over, compared with €16,006.62 in 2017.

It means that for people on the average industrial wage, keeping a roof over their heads is eating up 42pc of their disposable income, according to the study.

"Another year of rising household costs is the last thing that homeowners would have wanted to hear but it is, unfortunately, the situation that we find ourselves in," said Conor Faughnan, director of consumer affairs with the AA.

"While the continued climb of house prices has been one of the major stories of 2018, it's not just the cost of mortgage repayments or getting your foot on the property ladder that have risen in the past 12 months.

"Home heating and electricity costs have also surged in the past year, meaning that even those who were fortunate enough to acquire their home when property prices were a little lower have seen their wallets take a significant hit," he said.

Mortgage repayments increased by an average of almost 2pc, with the average homeowner paying €10,069.08 in repayments.

The cost of maintenance and repairs is the second largest cost, at an average of €1,255.56 per year, followed by the cost of home heating and electricity.

It's not just people who own their own homes who are paying more.

People who are currently renting with a view to saving for a deposit will find it increasingly hard to save, as household bills are eating up more and more of their income, he added.